What do staffing companies do

Permanent employees cost more than just the salary they are being paid. Health care, k retirement plans, sick days, vacation pay, and employer taxes are just a few of the costs included with permanent staff.

Rather than putting additional demands on current permanent staff, an employer can use an engineering staffing agency and bring in temporary workers to help split up the amount of work during busy times. This saves them from burning out full-time employees and overtime costs for employees if they work on an hourly basis which is a big benefit of staffing agencies.

An employer may need a temp employee due to permanent staff being sick, on maternity leave, having a family emergency, or taking a leave of absence. Hiring through a temporary staffing agency gives an employer the flexibility to schedule someone for a short period to handle these situations. Training new employees require a significant investment of both time and costs. By using a temporary staffing agency and employer is provided with someone ready to do the work they need. Not to mention the parting of ways is streamlined and smooth which is another staffing agency benefit.

Sometimes employers looking for resumes may have projects that require a specialist, or someone with certain expertise. A temp agency can set an employer up with a skilled staffing expert and save them time by weeding through hundreds of resumes, checking references, and taking calls from candidates who may or may not be qualified.

Technical staffing agencies help find temporary workers while saving employers time and money so they can focus on other business aspects. A good staffing agency spends years building up their talent network through referrals, networking, and speaking with candidates daily.

An employer may have an employee quit and need an immediate replacement. A temp staffing agency can deliver qualified talent many times in less than 24 hours due to its extensive network of candidates.

It can be hard to determine if an employee will be a fit strictly through an interview. By starting an employee on a contract the employee and employer can see if everything is a good match for both parties and if it is not, both can part ways easier. Contract staffing also known as temporary staffing is when an employer engages a staffing agency to provide a candidate for completing a short term assignment generally between one month and a year at an agreed-upon hourly billing rate.

In a contract-to-hire agreement an employer and staffing firm agree to terms on a predetermined length of employment before a full-time offer can be made to the candidate by the employer. Once the contract period has been completed the employer has several options.

Reviewing applications, interviewing candidates and negotiating salaries all take precious time away from a business owner's existing obligations, which may end up hurting the business in the long run.

That's why some employers partner with staffing agencies, which take a lot of the time and effort out of the search for candidates by providing their own workers for open roles. Using a staffing agency isn't the right choice for every business, but if you're considering working with one to meet your hiring needs, here's what you need to know about the process.

A staffing agency recruits employees for businesses that are seeking to fill certain positions. When you need new staff and choose to work with a staffing agency, the process typically goes as follows:.

Did you know? A staffing agency is a middleman that eliminates most of the time-consuming hiring process so that business owners can allocate their efforts elsewhere.

In addition to the markup you will pay, you may be expected to cover additional fees for filling the position or a contract buyout fees, if you hire a temporary worker permanently. As employers increasingly turn to part-time, freelance, and temporary workers to fill in their workforce gaps, staffing agencies have become a valuable resource for finding that talent quickly and efficiently.

The following are just a few of the many benefits the right staffing company can offer your business. The job market has changed considerably over the past several years, and the hiring process is longer and more difficult than in years past. A staffing firm can prescreen and qualify candidates to ensure the manager is always interviewing candidates that are a fit for the role. AJ Brustein, CEO and co-founder of on-demand staffing platform Wonolo , said that many companies are holding back on hiring for full-time positions for several reasons.

However, a focus on leaner operations has a lot to do with it, Brustein said. Temp staffing allows them to only have people when they need them, and those people are being productive. Jason Leverant, chief operating officer of national staffing franchise AtWork Group , said employers have come to realize the value of having a fluid workforce that can be dynamically adjusted to meet their hiring needs on an ongoing basis. There are a lot of legal responsibilities involved with being an employer, like covering certain taxes, providing insurance coverage and following labor laws.

From a financial and operational standpoint, hiring employees also comes with financial risks, especially if someone has to be fired or unexpectedly leaves. When you use a staffing firm, the agency assumes many of these liabilities for you. In a blog post on Snagajob , author Amy White outlined the major types of jobs that staffing agencies help companies fill: temporary an assignment with a set start and end date , temp to hire an assignment that's initially temporary, but is used to help an employer determine the temp worker's long-term fit with the company and direct hire a permanent position in which the staffing agency acts as a recruiter.

White also explained the process of how staffing companies fill positions. If the agency doesn't have an existing employee who is a good fit for an open role, it will typically advertise the position on job boards and other places job seekers would likely look. From there, it will accept applications and conduct interviews and a background check if required, just as any other employer would. Once the right candidate is found, that person is hired as an employee of the agency except in the case of direct-hire positions.

The worker's paycheck and benefits, if offered, are issued by the staffing agency, but the length of employment is determined by the client, White said. Alternatively, you can sign up for on-demand hiring platforms like Upwork , Freelancer.

These platforms operate a bit differently, in that workers who come through these sites are considered independent contractors — you're responsible for paying them directly and issuing a tax form at the end of the year.

However, as with staffing agency employees, you are still relieved of official employer obligations payroll taxes, benefits, etc. Key takeaway: Staffing agencies help fill temporary positions, temp-to-hire positions and direct-hire positions by matching existing employees who are well suited for the role or advertising the role for qualified job seekers to see. One of the most widespread misconceptions about hiring a staffing agency is that it's too expensive to be worth it.

Why pay extra in recruiting fees when you could hire someone yourself? However, once they get over this mindset, they often find it useful to collaborate with placement agencies, especially a temp agency, for temp jobs.

Sometimes, a staffing agency can be single industry-focussed serving only a particular sector like IT or manufacturing. In other cases, they allow businesses to connect to specific roles like executive positions or subject matter experts. A staffing agency can provide end-to-end staffing solutions to a business, which includes:. Additional Reading: 5 things to consider when selecting a staffing provider. Though employment agencies offer temp jobs, they can scout for different types of permanent jobs too, depending on the requirements of the business.

When they reach out to job seekers, staffing companies categorise them into the below roles:. It is not just the question of fulfilling a temporary need. There are many advantages for a business to collaborate with a staffing agency. For instance:. Before you decide to employ the services of a staffing provider, do ensure that they are the right fit for you.

Consider answering the following questions as you learn more about them:.